St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1887-12-12
And in Leaving His Office
Sheds a Flood of Light
on the Past.
His Connection With the Ives
Sully Negotiations Com
mented on Briefly.
Why the Baltimore & Ohio
Pay Car Was Two Weeks
Late Last July.
Special TO the Globe.

BALTIMORE, Deca LITTLE letter of
resignation of Second Vice President
Thomas King, of the Baltimore IL Ohio
railroad, was given out tonight. Mr..
King resigns because he is advised that
harmonious relations cannot exist if he
continues to hold his position. The
letter then gives history of Mr.. Kings
connection with the road and makes
public many things associated with
the company'S embarrasSments not
heretofore published. He says
in 1884, when Robert Garrett was elected
president, was the first time the preSi-
dent informed him that the company
was in need of additional funds to carry
on its affairs, and that he king and the
general council negotiated the Pitts
burg division loan. In securing this
loan, he says, they were greatly antago-
nized by New Workers. Mr.. King says
when he took charge of the Philadel-
phia extension the Baltimore & Ohio
HAD NO CONTRACT
with the Reading, which line it was in
tended to use to New York. The char
ter of the Schuylkill River East Side
railway, over which they must depend
for Philadelphia entrance, was vested
in the Reading, and for which large
sum was asked of the Baltimore & Ohio.
He intimateS that this was an unpar-
dOnable piece of stupidity, spending
millions of money in the construction
of line without any definite arrange
ment for getting it into Phila-
delphia or through to New York.
He finally corrected the trouble by OBJ
tanning the East Side road charter for
1854. rs and valuable contract with the
Reading company. Mr.. King then
states, without reserve. the exact cost
of constructing the Philadelphia line,
which has always been moOted queS
ton among outsiders. The total cost,
including the East Side railroad, up to
Sept. so, 1887, was s14, 1s3,Ol7. The
loans placed upon this prOpertyo amount
to SIG, 116,0OO. There is, therefore, re-
mainder of 81 ,932, 1888 from these loans.
OF this amount $525, 900 will be required
to double track twenty-five miles be-
tween Philadelphia and Baltimore and
complete the Philadelphia passenger
station and the
TERMINAL. FACILITIES
contemplated on the Delaware river.
The remainder he thinks ample to pay
all adjusted rights of way. During the
past three years Mr.. King has assisted
in negotiating loans aggregatlng $780,
900. Then comes the following
paragraph: 1T is proper for
me here to refer to the
harsh and unfavorable criticism
which has been made regarding my con-
nectiOn with the IveS-Sully negotiation.
Robert Garrett, as an individual. and
nearly all the leading Baltimore stock
holders entered into an arrangement to
sell their individual holdings. The
transaction was in their private capacity
and no official connection was had by
the company or its officers.
AS A PERSONAL FRIEND
to Robert Garrett had knowledge of
the negotiations, but not until after they
made considerable progress. The only
subsequent negotiations L have had in
connection with the financial affairs of
the company were in July last, when
large sum of money was raised by me in
New York and Pittsburg to take the
road over dangerous period. This
money saved the company from disaster
at the time. (NOte.) 1t will be remem-
bered that it was July last for the first
time in the history of the Baltimore d.
Ohio the pay car was two weeks
behind, on which account the employees
at PittSburg threatened to quit work."
Mr.. King has forwarded to the reSpec-
tive boards his resignation as preSinent
of the Schuylkill River, East Side Rail
road company, Sharpsville Railroad
company, Salisbury Railroad company.
FairmOunt. MOrgantOwn and PittSburg
Railroad company, and as managing
director of the Staten Island Rapid
Transit Railroad company.